The general contractor is responsible for configuring the SOV terms for each project. They can set up the following:
- Submission Window – Defines the specified time window for each month during which the contractor must compile and submit their Schedule of Values (SOV). Linarc streamlines this process by automatically generating the SOV on behalf of the contractor, accounting for work completed from the previous submission date to the current submission date. Additionally, the General Contractor (GC) sets a clear deadline for approving the SOV each month.
- Retainage – The percentage of money to be deducted from the total money value of the current SOV by the payer. The retainage money is accumulated with the payer and released on project completion. The retainage is for the GC/owner to have a hold on the paid party to ensure that they complete their work on time and correctly.
Once set, the terms are communicated to the contractors for their acceptance. The SOV autogeneration will apply only to the contractors who have accepted the terms. The contractor can:
- Accept the terms. Once accepted, the terms cannot be changed throughout the lifecycle of the project.
- Raise a dispute. If a contractor disagrees with the SOV terms, they can negotiate with the general contractor through any communication method, for example, using the built-in chat feature in the project management console. The GC can edit the terms for the contractor to accept. The revised terms will be available for the rest of the contractors who are yet to accept them till there is a next revision.
Roles and Permissions: Only the users with the 'Configure' enabled for the 'SOV' module can set up the SOV terms for a project.
Configure the SOV terms
- Open the SOV configuration screen if you haven't done so. To do so:
- Ensure that you are on the management console of the project
- Click the app launcher on the top-right and select 'Finance'
- Click 'SOV' on the top, then select 'Configure' from the options on the left
The table shows the list of subcontractors and the SOV terms set for them.
- Click the 'SOV Terms' button at the top right
- Enter the parameters:
- Retainage value - Enter the amount to be deducted and held at each billing cycle as the percentage of the total amount
- SOV Open day every month - The day at which the SOV submission window starts each month. Click in the field and select the date.
- SOV Submission day every month - The day at which the SOV submission window closes each month. Click in the field and select the date.
- SOV Approval day every month - The day on or before which the approval authority, typically the GC or the owner approves the SOV for that month. Click in the field and select the date.
- Click 'Save' for your configuration to take effect
The configuration is auto-accepted for the general contractor and communicated to the subcontractors.
The subcontractors get notified to review and accept the SOV terms. They can accept the terms or negotiate with you for a revision.
You can revise the configuration any number of times until all subcontractors agree to the terms. For every change, the revised configuration will only be available to the contractors who have yet to accept it and will not take effect on the contractors who have already accepted it. This enables you to set up different configurations for different contractors.
Revise the SOV configuration
- Open the SOV > Configuration screen as explained above.
The table shows the SOV configuration parameters set for the contractors.
Search and filter options:
- Use the 'Search' box located at the top left to locate projects using any value from the table as search criteria
- The options at the top right allow you to filter the entries, create nested groups of entries, and manage personalized and customized views of the table. You can also customize the table by adding or removing columns. Use the links below to learn more about these:
- Click the 'Edit SOV Term' button at the top-right
- Change the values as required, as explained above, and click 'Save' for your changes to take effect
The new terms are informed to the contractors who did not accept the previous configuration.
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